Boston, MA 10/08/2014 (wallstreetpr) – Golden Star Resources Ltd. (USA) (NYSEMKT:GSS) disclosed its preliminary production results from its Bogoso, as well as, Wassa mines for the third quarter. The sale of gold indicated 1% drop sequentially from the second quarter. The downtrend has been continuing in the third quarter too.
Gold Sales
The company stated that it could sell a total of 61,181 ounces of gold during the third quarter, down 1% from 61,721 ounces of gold in the second quarter. In the first quarter of the current calendar year, it sold 65,812 ounces of gold. This suggests that there was a drop of 7% from the first quarter level.
Golden Star Resources Ltd. (USA) (NYSEMKT:GSS) said that its Wassa unit produced 22,716 ounces of gold while 38,464 ounces of gold were produced at Bogoso. In July, production in Wassa was affected by the new power line commissioning in the mine site thus resulting in downtime of the mill. After the commissioning of fresh power line, milling has returned to regular levels. In Bogoso, production slowed due to heavy rainfall. However, post the dewatering, production from the site was strong.
The company disclosed that it could realize an average price of $1,271 an ounce of gold.
Management Comments
Golden Star Resources Ltd. (USA) (NYSEMKT:GSS) President and CEO, Sam Coetzer, said that production in both the mines has improved with both throughput and grades recording increase towards the end of the third quarter. He said that expenses were trending downwards in line with its tactics, especially in Bogoso, where expenses were predicted to be lower than what it has been for a number of years. He expressed his confidence that the company would be able to close the year on a favorable note in view of its strong combined results from both of its mines in September.
YTD Sales
For the nine-month period, the company said that it sold 188,713 ounces of gold. The company was sitting with a cash balance of $36 million apart from $35 million of credit facilities.
The Golden Star Resources Ltd. (USA) (NYSEMKT:GSS) would release its financial results on November 5 after the market closes, and a conference call would be held the following day 10 a.m. ET.
